Uranium Companies

There are very few pure uranium companies. Most companies, especially the small exploration type, are active in more than the uranium industry. This blog makes no attempt to guage the percentage of a companies activity that are related to the finding, mining or processing of uraniun. They all do, however, have some uranium activities (to the best of our review).

Merv's Uranium Indices

I have developed two Uranium Indices. They each have the same component stocks but are calculated using different methodologies. My weekly Index is based upon the average weekly performance of the component stocks. My daily Index is based upon the daily average of the component stocks open, high, low and close prices along with the daily average volume of all component stocks.

Click on the chart or table to enlage the view.

14 June 2011

Merv's Daily Commentary 14 June 2011

After The Close, 14 Jun 2011

Merv’s Daily Uranium Index
Market Data

Open: 164.44
High: 168.08
Low: 161.90
Close: 165.70
Volume: 5818

Note that the volume is an average volume of round lot sales for the 50 component stocks. For total volume, multiply by 5000.

We had a downer yesterday and a lesser upper today. Looking at the candlestick action, today’s action looks very much like a bottoming out and the start of a bounce or rally (but not yet a bull move). There is just too much damage done to the Index with its move into new bear lows that would take some reasonable upside action to get back in a bullish mood.

The Merv’s Daily Uranium Index closed higher by 2.22 points or 1.36%. There were 31 winners today, 14 losers and 5 stocks still totally confused. Cameco lost 0.7%, Denison gained 4.7%, Extract gained 11.1%, Paladin lost 3.6% and Uranium One gained 7.6%. The best winner of the day were two stocks, CanAlaska and Powertech each with a gain of 11.76%. The loser of the day was Xemplar Energy with a loss of 7.1%. Market Vectors Uranium + Nuclear Energy ETF gained 0.9% while Global X Uranium ETF gained 2.5%.

The chart tells us the whole story at this point. Everything is still negative but we are seeing sign of a possible turn. When you have a down day followed by a day where the action was all within the previous day’s action (daily high and low) this suggests a possible halt to the down move with hopes for a bounce or rally ahead. That’s about the best I can come up with for today. So, ratings are all BEARISH with the short term the most likely to show some signs of strengthening. The most likely action for tomorrow is some upside but not necessarily a violent up move.


gaw said...

I watch the spot U price, and it is still declining. The fundamentals have shifted unfavorably, IMHO, with so many nations stepping back from nuclear power plans.

I am more focused on rare earths miners, it's a smaller sector, but the fundamentals seem to be much better than for U miners in the forseeable future.

There are only about 16 "major" rare-earths miners, really only about 4 big ones, and then a few juniors, not many there either.

Have you given any consideration to an Index of RE miners? I am sure you haven enough on your plate now, but maybe it is time to diversify a little, in your spare time (joke). Or, as I have suggested, maybe a trading how-to book on the 'Burak Technical Trading' method - I'd like to pre-order a copy!

Thanks again for your Blog and the time it takes, and enjoy the Summer!

Merv said...

I have looked at the rare earths but as you inferred, time is the stumbling block. I have a precious metals (gold and silver) service that takes up an inortdinate part of my time.

As for a how-to trading book, I had considered it many years ago (really a technical course - the simple way). Maybe I'll reserect that thought.